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EC, China strengthen cooperation on supply chain security

EC, China strengthen cooperation on supply chain security

   The European Commission and China have agreed to strengthen their cooperation in order to increase security and trade facilitation throughout the supply chain.

   As a first step, a pilot project has been set up, initially involving the EC, the Customs Administration of China and the United Kingdom and the Netherlands, with the aim of creating smart and secure trade lanes between Europe and China.

   The pilot project will involve the ports of Rotterdam, Felixstowe and Shenzhen with particular emphasis on sea containers to test security from the point of the stuffing throughout the entire journey of the container until its final destination.

   If proved successful, the cooperation could be expanded step-by-step to the whole of the European Community, the EC said.

   “Trade security and facilitation have become a priority for the EC. Strengthened customs cooperation between the European Union and China will help both parties to reach this objective,” said L'szl' Kov'cs, the EC’s taxation and customs union commissioner. “I am pleased that, with the launch of this pilot project we both confirm our commitment to deepen customs co-operation and strengthen our citizens’ security”

   The EC said it hopes for the project will include the following outcomes:

   * “Reciprocity and mutual recognition of security standards, control results and authorized economic operator concepts.

   * “Improved information flows, improved risk assessment and targeting of controls.

   * Quicker release of goods upon arrival, better predictability of delivery times for business partners and reduced control efforts for Authorized Economic Operators.”

   The EC’s and China’s Agreement on Customs Cooperation and Mutual Administrative Assistance in Customs Matters entered into force April 1, 2005. Since then, a EU-China Joint Customs Cooperation Committee (JCCC) was launched in order to promote future developments of customs legislation and to strive for the solution of problems encountered in the application of customs rules. The first JCCC took place in China last November with the second meeting taking place in Brussels earlier this week.